Eskom’s Interim Chief Executive puts special focus on governance and ethics
29 June 2017
Eskom has assured South Africans that it remains committed to continue delivering on its mandate of providing sustainable power supply during this period of high demand and beyond. The company’s executive committee met for the first time today (Thursday) under the leadership of Interim Group Chief Executive, Johnny Dladla.
“All hands are on deck as all of Eskom’s over 40 000 employees work daily to keep the lights on. Our power system is in a healthy position, able to meet South Africa’s daily power needs comfortably with an operational surplus of 5 500MW. We will share full details of our technical, financial and socio-economic performance at a media briefing on 12 July 2017,” Dladla said.
“I am prioritising meeting with critical stakeholders, including employees, to share and get support for our operational plans going forward. Together with my executive management team, we will put special focus on corporate governance and ethics going forward, a move that will help us to restore confidence and stability in the company. We are on course with our five priority initiatives, which are: increasing demand for electricity; reducing primary energy expenses; implementing advance analytics to deliver savings; releasing government guarantees and optimising our capital expenditure. We will be doing this while addressing issues and areas pointed out by the Minister of Public Enterprises, namely, the management of contracts; conflict of interests; and the quality of coal supply,” he said.
Dladla said he was pleased to note that Eskom has managed to secure 77% of its funding requirements, including cash on hand, for the current 2017/18 financial year despite tough market conditions. Furthermore, Eskom in the 2016/17, Eskom had for the first time managed to increase its borrowings by over R60 billion in one single year, a move that is indicative of the confidence that the investors still have in Eskom.
“We remain resolute that we will fully execute the required funding for the year, albeit under challenging market conditions. Our liquidity levels remain healthy and Eskom’s financial profile continues to improve and stabilise. Backed by the availability of the government guarantees and the stable financial profile, we do not foresee significant impediments in the execution of the remainder of the FY17/18 funding requirement,” said Dladla.
Meanwhile, Dladla announced the appointment of Abram Masango as the Acting CEO of Eskom Enterprises, a subsidiary of Eskom Holdings Limited. Masango, who was until recently responsible for the Eskom new build programme, will now oversee all activities of Eskom Enterprises and its subsidiaries, which include Eskom Rotek Industries, and its interests on the continent to pursue non-regulated business opportunities.
Issued by Eskom Media Desk, 29 June 2017